Israel mulls releasing taxes to PalestiniansIsrael mulls releasing $100 million in taxes to Palestinians withheld after UN statehood bid
By The Associated Press

JERUSALEM (AP) ' An Israeli government official says Cabinet ministers are meeting to discuss releasing some $100 million in taxes to the Palestinian government in the West Bank, withheld following a Palestinian bid for statehood at the United Nations.

Israel collects customs, border and some income taxes on behalf of the Palestinians and relays them monthly to their West Bank government.

Earlier this month, Palestinian officials said Israel suspended November's transfer. This came after the Palestinians asked the U.N. to recognize an independent state of Palestine and won membership in a key U.N. agency. Israel opposes both moves.

The Israeli official discussed the Monday ministers' meeting on condition of anonymity because it was closed.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP's earlier story is below.

GAZA CITY, Gaza Strip (AP) ' Palestinian officials say a Hamas naval policeman has been killed and seven others have been wounded in an Israeli airstrike on their building in the northern Gaza Strip.

The Israeli military says its aircraft struck an unspecified "terror activity site" early Monday after Palestinian militants in Hamas-run Gaza fired a rocket at southern Israel. No one was hurt in that rocket attack Sunday evening.

The casualties were confirmed by Gaza health official Adnan Abu Salmia.

The mayor of Beit Lahiya, Izzedine Dahnoun, said an electricity transformer supplying northern Gaza from Israel was damaged by the blast, knocking out power to some 100,000 people.

Hamas officials say all their personnel were instructed to evacuate their buildings to avoid another airstrike.